Solutions

Cryptocurrency Benchmark Indices

We offer independent and objective indices across the cryptocurrency spectrum. The indices, which are available 24 hours a day, employ a robust set of principles
to ensure precise and reliable pricing. All of our indices receive data from a number of global cryptocurrency spot exchanges which accurately reflect the activity
in the underlying markets resulting in broad representation of fair value.

IOSCO rules govern the formation, guidelines and ongoing support of our benchmark services. Services include licensing an index, providing day-to-day calculations,
dissemination of our proprietary indices, and broadcasting data in real time are available.

CRYPTOCURRENCY BENCHMARK FEATURES

Our Cryptocurrency Indices have been defined using IOSCO guidelines, CFTC requirements where applicable, with the goal of providing real time information about specific market performance. Sound index construction,
rigorous maintenance and uninterrupted data distribution make the indices accessible among investment professionals and the general public. Construction, weighting, calculation and review dictate how each index functions and
performs using publicly available prices for the types of assets in each index with the resulting output providing fair value for TeraExchange listed instruments as well as portfolio mark-to-market, Index investment products, research or a combination of these uses.

Market demand may drive the impetus to create an index or the motivation may come from academia, our team continues to identify opportunities in the cryptocurrency arena to track a particular market and adheres to the
same stringent criteria for each. Our goal is always with the intent to allow fair value exposure for a market segment to be trackable. Each of our indices architecture includes the broadest possible set of publicly
available securities or other asset classes that could potentially be eligible for the index, these prices are essential for reliable index calculations.

These exchanges provide real-time, reliable and public market data regarding their trading activity. Accordingly, by blending the prices from a diverse set of widely utilized exchanges and subjecting their data to the Index's proprietary filtering methodology, the Index provides a reference that is indicative of the fair value of the spot price.

Execute and maintain an Information Sharing Agreement with TeraExchange where applicable

Information Sharing Agreement (ISA) is a critical component of this qualification criteria as it ensures that TeraExchange and the CFTC receives the transparency to routinely monitor and assess the underlying marketplace. These agreements, which foster a collaborative relationship with TeraExchange and its underlying bitcoin exchanges, enhance the safety and soundness that TeraExchange demands for its trading facility.

Once an exchange qualifies as a constituent, the TeraBit Index employs a robust set of quantitative criteria that guides the influence each exchange's market data has over the Index.

Components of the Index include:

Volume Weight Coefficient: The TeraBit Index uses a rolling average to calculate the weight coefficient assigned to each individual exchange. Although higher volume exchanges carry greater weight within the calculation, the weight coefficient that is employed limits the concentration of any one qualified marketplace.

Data Set Filtering: Price data from each exchange is considered and evaluated, with anomalous data having no influence over the Index. The overall objective of this filtering process is to neutralize deviant pricing behavior and dampen the impact of individual exchange transient events.

Intra-Day Filter: The Index enforces its proprietary filtering criteria intra-day and will exclude data from those exchanges that no longer qualify.